On February 12, the California Public Utilities Commission (CPUC) issued an order adopting two pilots to test two frameworks for procuring distributed energy resources (DERs) to avoid or defer utility distribution investments by the state’s three investor-owned utilities. The first framework, coined as the Partnership Pilot by the CPUC, is a five-year pilot establishing a DER distribution deferral tariff with a tiered payment structure open to any DER customer type. The Standard-Offer-Contract Pilot, the second framework, is a three-year pilot that will offer standard offer contracts to in-front-of-the-meter DERs. The adoption of these frameworks is a continuation of the CPUC’s effort to implement Public Utilities Code Section 769, which took effect in 2015 and requires the CPUC to, among other things, identify mechanisms for the cost-effective deployment of DERs that satisfy distribution planning objectives.
Continue Reading CPUC Adopts Pilots Aimed At Procuring DERs In Lieu of Grid Investment